Islamabad: The government should deregulate the prices of petroleum products, allowing petroleum marketing companies (WTO) to sell fuel in a competitive manner while maintaining a price ceiling to ensure market stability.
In order to reduce fuel costs and improve market efficiency, the government also plans to allow oil refineries to mix up to 5% ethanol in petroleum products to attract investments and approach the ineffectiveness of energy sector, The news reported.
Speaking at the annual oil and gas conference in Islamabad, the Minister of Petroleum Musadik Malik underlined the gaps of Pakistan in Offshore oil and gas exploration, noting that only 18 wells have been drilled in the last 60 years, unlike the discoveries of neighboring countries.
In response, Pakistan announced the auction of 40 offshore exploration blocks alongside 31 onshore blocks to stimulate the production of inner energy, he said.
The Common interest Council (CCI) is expected to approve a tight gas policy at its next meeting. Efforts are also underway to develop tight and shale gas resources, the Oil and Gas Development Company Limited (OGDCL) has recently discovered a shale gas reserve.
The Minister also revealed that Pakistan advanced its renewable and alternative energy efforts, focusing on green production projects of hydrogen (oxygen -based) and blue hydrogen (based on ammoniac ). He added that a biofuel policy should be approved soon.
“These initiatives will play a crucial role in the country’s transition to sustainable energy solutions,” he said.
Malik warned that the rapid fusion of glaciers could seriously have an impact on the Pakistan canal system, stressing the importance of integrating environmental sustainability into all energy initiatives. He reiterated the need to rely more on internal resources to ensure long -term stability.
The Minister of Petroleum criticized bureaucratic ineffectiveness and called for greater dependence on the private sector. He pointed out that significant economic reforms require to move away from obsolete governance models.
He described three key objectives for the energy sector: ensuring the availability of energy for the public, making the energy affordable for consumers and guaranteeing the sustainability of energy supplies.
The Minister stressed the importance of going beyond a rigid and bureaucratic approach, saying: “If we want to develop, we must abandon a culture of ineffectiveness and adopt avant-garde policies.”
He urged Pakistan to cultivate a state of mind of innovation and unity to make progress.